Former TMX exec Cowan to advise Nasdaq's Chi-X Canada: sources

By John McCrank

2 Min Read

(Reuters) - Kevan Cowan, a former senior executive at Canadian exchange operator TMX Group Ltd (X.TO), is joining Nasdaq Inc's (NDAQ.O) Chi-X Canada stock-trading platform as a consultant, according to two sources familiar with the matter.

Cowan may advise Chi-X Canada on starting a listings business that would compete with TMX's Toronto Stock Exchange, according to one of the sources, both of whom asked not to be named because the news was not public.

Cowan declined to comment.

Nasdaq completed its acquisition of Chi-X Canada, the country's largest alternative trading system, for an undisclosed amount in early February.

Later in the month, the exchange operator bought Canada-based news distributor and communications firm Marketwired, expanding the corporate services offerings that Nasdaq uses, in part, to support companies that list on its exchange.

TMX dominates the listings business in Canada, though it does have some competition from the Canadian Securities Exchange, and upstart Aequitas NEO Exchange landed its first listing - an exchange-traded fund - in January.

Cowan had been president of TMX markets and head of equities and was a candidate to become chief executive officer Canada's top market operator following the retirement of former CEO Tom Kloet in 2014, sources told Reuters.

The company ended up appointing Lou Eccleston to the role and Cowan, a lawyer by training, left last July after 18 years with the company and one of its former subsidiaries.

Separately, Kloet was elected to Nasdaq's board of directors in March 2015.